The first cryptocurrency is again experiencing a drop (this time by an impressive 11.5%). Bitcoin is philosophical about a series of ups and downs, keeping the market in suspense. Analysts fear a prolonged depressive period in BTC, the dynamics of which leaves much to be desired.
The beginning of the new week turned out to be negative for the #1 cryptocurrency: it lost 11.5% in a day, falling to $31,600. At the moment, the BTC rate was falling to a critical $31,300. On the morning of Tuesday, June 22, bitcoin slightly recovered its position, rising to $32,226. The first cryptocurrency showed positive dynamics after slipping to $31,000. Tougher regulatory requirements in China and unfavorable technical factors have tripped up digital assets.
According to experts, the current state of the crypto market remained unstable. According to Chris Weston, head of research at Pepperstone, the market clearly recorded "waves of FONGO (fear of not getting out of the impasse)," while bitcoin had to balance "on the verge of success or failure." Recall that on Monday, June 21, the monetary authorities of China banned most major banks and the Alipay electronic platform from providing services related to trading in digital currencies. Against this background, crypto assets and securities associated with them fell sharply. Concerns about further "crypto-reprisals" in China have added fuel to the fire. As a result, a formidable figure — the "death cross" — has formed on the BTC chart, as the price of the leading crypto asset has fallen below the 200-day moving average over the past 50 days. In technical terms, this indicator is considered as a "red flag", suggesting big problems for the BTC in the near future.
The story of the rise of the first cryptocurrency: three vertices. Cyclical dynamics of the BTC
Experts consider the peak values of its price recorded in 2011, 2013, and 2017 to be the finest hours of bitcoin. In these years, the digital asset was at highs from 1 to 4 days. Against this background, the crypto market remained close to historical records from 9 to 58 days, experts emphasize.
Peak of 2011 for the BTC
Eleven years ago, bitcoin was at its peak price for about 3 days, reaching a maximum of $31,900. After 3 days, the euphoria ended: the main crypto asset collapsed. This was the beginning of a protracted phase of correction of the BTC. Experts consider this turn in the dynamics of the asset as a sample of the culminating top (blow-off top), which completes the "bullish" trend. The next stage is a long period of correction of the first cryptocurrency.
Peak of 2013: A turning point for Bitcoin
Eight years ago, the main virtual asset formed two peaks, which experts later called the culmination. At first, the BTC reached a maximum of $268,67, but only lasted 1 day at this level. The second peak (about $1,177) was reached by the digital asset in November of this year. The next day, a pullback was recorded in the market, but in December, the story with the rise was repeated. Based on these facts, analysts claim a 4-day peak period for the BTC. Later, a noticeable correction began in the dynamics of bitcoin.
Peak of 2017: this is not the limit
In December 2017, the leading digital asset peaked at $19,764. For 3 days, the BTC was at the peak of the price, and then the crypto market sank sharply, launching a long downward correction. This year, the situation is slightly different, experts emphasize. The historical maximum of BTC was recorded in April 2021 and amounted to $64,840. The bitcoin price remained near this mark for 9 days, forming a peak on the chart. However, analysts do not consider it the culmination, believing that everything is ahead for the BTC.
According to the calculations of experts, before the end of this year, the fourth rise of bitcoin is quite possible. It will be the next peak and by no means the last in the "rough" and always volatile dynamics of the BTC. The first cryptocurrency will have to find a compromise with the regulatory authorities of a number of countries, compete with national digital currencies, while keeping from falling into a downward spiral, experts conclude.
